Benioff joins the software maintenance fray
Posted by: Barney Beal
software maintenance, Oracle, SAP, Salesforce.com, Benioff
There’s been a bit of a brouhaha in the blogosphere over software maintenance fees this week.
The Salesforce.com CEO got things started when an internal corporate memo was “leaked” to members of the press and analysts, notably Vinnie Merchandani and Chris Kanaracus at NetworkWorld.
Here’s an excerpt from Benioff’s email:
Let me tell you about a customer that I met on our Cloudforce tour. This customer currently uses Siebel software to run her call center. She pays more than $15 million a year for the privilege of having to implement the updates that Siebel sends her. That does not include backup. Or disaster recovery. And of course, it does not guarantee that she will be using the latest technology. The maintenance agreement only assures her that her outdated software will continue to work. She is paying tolls on a road to nowhere.
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